Current Marketplace consumers may be automatically re-enrolled for 2015

The Department of Health and Human Services (HHS) has proposed a rule to automatically re-enroll existing federal Marketplace consumers for plan year 2015 during the upcoming enrollment season. State exchanges may follow this approach, or propose another.

Why auto-enroll?

HHS sees automatic renewal of existing Marketplace health coverage as a way to manage the burden on the Marketplace system, while making it easier for consumers who wish to keep their plans. Under the proposed rule, consumers would be re-enrolled in their current plans unless they opted to shop for a new plan. They would still be able to use the Marketplace at any time to update personal information.

What about tax credits?

To help make sure consumers receive the appropriate tax subsidy, HHS proposed the following process for 2015:1

Consumers would be instructed to update their annual income information on the Marketplace during open enrollment.

Individuals whose updated income information suggests they may no longer qualify for tax credits would be automatically re-enrolled without a subsidy.

They would then receive a notice instructing them to revisit the Marketplace and ensure their personal information is up to date.

Their insurance company would then notify them of their new premium and provide instructions for making changes to their coverage if they choose.

This approach is for the federal Marketplace. State exchanges may follow this approach, or propose another.

Impact on individuals

If the rule is implemented, people who already have a Qualified Health Plan through the Marketplace will be re-enrolled in that plan each year automatically — similar to the process used for most other health plans. However, consumers can still shop for another plan and make changes.